Crossing the Line from Hobby to Business
Автор: Sameer Alrishani
Загружено: 2026-01-24
Просмотров: 1
This video outlines how the Canada Revenue Agency distinguishes between a personal hobby and a legitimate commercial enterprise. To qualify as a business, an individual must demonstrate a reasonable expectation of profit and separate their private finances from professional costs. The video clarifies that while preliminary research or patent filing may not signal a start date, activities like market surveys, securing suppliers, and purchasing inventory typically do. Entrepreneurs are encouraged to maintain a daily business journal to provide evidence of their transition toward a profit-seeking venture. By documenting specific operational milestones and deal-making efforts, creators can successfully prove their commercial intent to tax authorities.
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